PERTH (miningweekly.com) – ASX-listed junior De Grey Mining has reported a 20% increase in the resource of its Pilbara gold project, in Western Australia.
The project is now estimated to host a mineral resource of 23.88-million tonnes, grading 1.6 g/t gold for 1.2-million ounces. This is an overall increase of about 207 000 oz, De Grey said on Thursday.
“The 20% increase in gold resource is a great outcome and demonstrates the potential still to be discovered in the region,” said operations manager Andy Beckwith.
“These resources will now be evaluated and added to our previous scoping study assessment, which noted that any increased mine life will make a significant positive financial impact.”
Beckwith said that the company’s priorities were to increase project resources through exploration, drilling and acquisition, with the priority on openpit resources within 50 km of the proposed mine site.
An August scoping study has estimated that the Pilbara gold project will require A$78-million to build a mine producing 290 000 oz over five years.